SC tells Amazon, Future to ask HC to decide arbitration on priority

Amazon is opposing Future Retail's Rs 24,700 crore deal to sell its retail assets to Reliance Ventures, a subsidiary of Reliance Industries Ltd

The Supreme Court on Monday asked Amazon NV Investment Holdings Llc and Future Retail Ltd to request the Delhi High Court to decide on priority on the merits of the petitions to enforce the arbitration award.

The Delhi High Court is currently hearing, on priority, whether the Future Retail-Reliance deal before the National Company Law Tribunal should go ahead after the Supreme Court had directed the high court to hear all the petitions regarding the case afresh.

The apex court bench of Chief Justice N.V. Ramana, Justice Krishna Murari and Justice Hima Kohli was hearing an application by Amazon asking for an interim injunction against Future Retail from alienating its stores.

The bench also allowed the two sides to file a memo by Tuesday on jointly appearing before the Singapore International Arbitration Centre to resume arbitration proceedings.

Amazon is opposing Future Retail's 247-bln-rupee deal to sell its retail assets to Reliance Ventures, a subsidiary of Reliance Industries

Ltd.

Amazon claims its 14.3bln-rupee investment in Future Coupons Pvt Ltd, one of the promoters of Future Retail, gives it the right to block sale of Future Retail's assets to its competitors.

On Monday, shares of Future Retail closed 1.83% higher at 33.35 rupees, while those of Reliance Industries Ltd settled 0.3% higher at 2663.70 rupees on the National Stock Exchange.